Mr. Robin Dunbar reports

GRID METALS CORP. SIGNS CESIUM AGREEMENT WITH TANCO

Grid Metals Corp. has signed a cesium supply agreement with the Tantalum Mining Corporation of Canada Ltd. The agreement provides financing for Grid to drill for cesium at its Donner property. If sufficient resources are delineated by drilling, the agreement provides access for 10,000 tonnes of Grid's cesium material to be processed at the Tanco cesium plant, which is the only cesium processing plant in the Western world. The agreement is a unique opportunity for Grid to kick-start exploration and potentially development for cesium -- a rare critical metal.

The drill target at Donner is the high-grade dike, which is a highly fractionated pegmatite dike with documented high-grade cesium values in the mineral pollucite. The HG dike is located approximately 35 kilometres from the Tanco cesium plant at Bernic Lake.

Key terms of the Grid Metals/Tanco agreement:

• An initial prepayment advance of $300,000 will be provided by Tanco to Grid for drilling at Donner.
• If drilling is deemed successful (by the parties), a follow-up prepayment advance of $900,000 will be provided by Tanco to Grid for project development activities.
• In exchange, Tanco will have the right to purchase 10,000 tonnes of cesium-bearing material from Grid at a predetermined price.
• Pricing for cesium material grading at least 5 per cent Cs2O will be $1,500 (U.S.) per tonne (set price of $300 (U.S.) per tonne per 1 per cent Cs2O) with deductions applied for transport.
• The prepayment advances are repayable from the proceeds of future cesium or lithium sales to Tanco.

Benefits of agreement to Grid shareholders:

• Collaborative agreement providing capital and technical processing expertise for one of the world's rarest critical metals;
• Immediate financing for first-phase cesium drill program at Donner;
• Committed development capital for resource development/permitting;
• Access to Tanco technical expertise and toll milling access at favourable terms;
• Potential for the agreement to generate near-term cash flow;
• Opportunity to leverage other cesium occurrences in Grid's property portfolio, particularly Falcon West.

Robin Dunbar, Grid's chief executive officer and president, stated: "Consistent with our focus on our Bird River property portfolio and partnering with industry leaders, we are excited to announce this agreement with Tanco, the world's leading producer of cesium products. This agreement provides the foundation to kick-start cesium exploration with the objective of near-term cash flow generation through toll milling. Our proximity to the only cesium operation in the Western world is a unique feature of the Tanco collaboration. We note that we have a second cesium property (Falcon West), where we have obtained significant cesium results in drilling, including 3.3 m at 10.3 per cent Cs2O and 3.2 m at 4.6 per cent Cs2O."

Dr. Dave Peck, PGeo, Grid's vice-president of exploration, stated: "The high-value and geological scarcity of primary cesium ores combined with the known surface exposure of pollucite at the HG dike provides strong motivation for the proposed exploration drilling. The partnership agreement with Tanco gives Grid direct access to the world's principal cesium processing plant -- eliminating most of the technical risk for future cesium development project(s). The focus of the drill programs at Donner and eventually Falcon West will be to adequately characterize the potential for meaningful tonnages of near-surface pollucite-dominant high-grade cesium mineralization."

High-grade dike overview

The high-grade dike is located on the Donner lithium/cesium property, approximately 35 kilometres from the Tanco mine site. The dike has seen limited exploration with drilling completed in the 1980s for tantalum. The HG dike contains the rare cesium mineral pollucite -- the preferred feedstock for the nearby Tanco cesium plant. Pollucite is only formed in the most fractionated LCT-type pegmatite bodies and is only known from a very small number of localities. A select composite surface grab sample from the high-grade dike taken in 2024 returned 17.5 per cent Cs2O associated with coarse-grained pollucite. The company plans closely spaced drilling over an approximately 200-metre strike length to test for any continuity of pollucite to a vertical extent of 30 to 50 m. By nature of its extremely fractionated nature, the HG dike has been the subject of multiple academic studies by world-renowned pegmatite researchers.

Cesium overview:

• Cesium is a rare earth metal that is defined as a critical mineral by the U.S. and Canadian governments.
• The largest application of cesium is as cesium formate for drilling fluids, but it is also used in atomic clocks, photoelectric cells, glass production, vacuum tubes and radiation monitoring equipment, amongst other uses. Next-generation solar panels (perovskite solar cells) can use cesium to improve their efficiency, stability and thermal properties.
• Only three mines globally have ever produced cesium, including Tanco in Manitoba (producing), Bikita in Zimbabwe (producing) and Sinclair in Western Australia (formerly producing).
• The price of cesium carbonate on the Shanghai Metals Market is currently $120,000 (U.S.) per tonne.

Qualified person statements

Dr. Dave Peck, PGeo, is the VP, exploration, of Grid, is the qualified person for purposes of National Instrument 43-101, and has reviewed and approved the technical content of this release.

About Grid Metals Corp.

Grid Metals is focused on exploration and development in southeastern Manitoba with four key projects in the Bird River area:

1. The Makwa property (nickel-copper-platinum group metals-cobalt), which is subject to an option and joint venture agreement with Teck Resources Ltd. Teck can earn an up-to-70-per-cent interest in Makwa by incurring a total of $17.3-million, comprising project expenditures ($15.7-million) and cash payments or equity participation ($1.6-million) with Grid. Makwa is located on the south arm of the Bird River greenstone belt.
2. The Mayville property (Cu-Ni) is located on the north arm of the Bird River greenstone belt. Grid owns 100 per cent of the Mayville property subject to a minority interest.
3. The Donner property (lithium-cesium) is adjacent to the Mayville property, and Grid owns 75 per cent of the project. Grid expects to commence a cesium-focused drill program in the next few weeks.
4. The Falcon West property (Li-Cs) is located 110 km east of Winnipeg along the Trans-Canada Highway and contains highly anomalous cesium values in a number of historical drill holes including 3.3 m at 10.3 per cent Cs2O and 3.2 m at 4.6 per cent Cs2O.

All of the company's southeastern Manitoba projects are located on the ancestral lands of the Sagkeeng First Nation with which the company maintains an exploration agreement.

We seek Safe Harbor.